Here are five schemes that may receive significant attention and top-ups in Budget 2025:
1. PM Awas Yojana (PMAY)
The flagship housing scheme has been a cornerstone of the government’s welfare agenda. In the 2024 Budget, Sitharaman had announced an investment of Rs 10 lakh crore for the Pradhan Mantri Awas Yojana (PMAY).
With urban housing shortages already at 10.1 million units, and rising demands in tier-1 and tier-2 cities, the Finance Minister may announce an increased allocation for urban housing under PMAY.
This could include additional subsidies for affordable housing and a streamlined process for loans targeting young working professionals and first-time homebuyers.
2. Ayushman Bharat – Pradhan Mantri Jan Arogya Yojana (PMJAY)
As healthcare continues to be a pressing issue, particularly post-pandemic, the government could announce an expansion of coverage under Ayushman Bharat. In the latest, the Centre had announced that senior citizens aged 70 and above will now be included in the Ayushman Bharat Pradhan Mantri Jan Arogya Yojana health insurance scheme.Also read: India to simplify decades-old income tax filing rules in Budget
A higher allocation may allow inclusion of more families and additional treatments, particularly for non-communicable diseases and mental health.
3. PM Gram Sadak Yojana (PMGSY)
The Pradhan Mantri Gram Sadak Yojana, which focuses on rural road connectivity, may receive a significant funding boost in Budget 2025. Last month, ET had reported that the Centre is likely to raise the outlay for its key roads scheme by nearly 10% in the budget for the next fiscal year to deepen its rural push.
The flagship rural road development scheme received Rs 16,100 crore in FY25, up from Rs 14,800 crore in the previous fiscal.
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With the government emphasizing infrastructure development as a driver of economic growth, Sitharaman could announce new targets for connecting remote villages and upgrading existing rural roads.
4. PM-Kisan Samman Nidhi Yojana
Farmers’ welfare will likely remain central to Budget 2025.
Earlier last month, in a pre-budget meeting, farmer representatives and agricultural stakeholders urged the central government to provide cheaper long-term credit, implement lower taxes, and double the PM-KISAN income support. One demand that stood out was to increase the annual PM-KISAN instalment from Rs 6,000 to Rs 12,000, amid inflation woes.
An increase in the direct cash transfer amount under PM-Kisan, along with faster disbursement timelines, may be announced.
5. MSME Support Schemes
Micro, Small, and Medium Enterprises (MSMEs) form the backbone of India’s economy, and Budget 2025 is expected to focus heavily on strengthening this sector.
Sitharaman may announce enhanced credit guarantees under the credit guarantee scheme announced last year, lower interest rates on loans, and measures to support digitization for MSMEs.
Additional initiatives to simplify GST compliance could also be on the cards.
